093_SB0713ham001 LRB093 03166 AMC 16966 a 1 AMENDMENT TO SENATE BILL 713 2 AMENDMENT NO. . Amend Senate Bill 713 by replacing 3 everything after the enacting clause with the following: 4 "Section 5. The Illinois Public Accounting Act is 5 amended by changing Sections 2 and 20.01 as follows: 6 (225 ILCS 450/2) (from Ch. 111, par. 5502) 7 (Section scheduled to be repealed on January 1, 2014) 8 (Text of Section before amendment by P.A. 92-457) 9 Sec. 2. Examinations. The University shall appoint a 10 Board of Examiners that shall determine the qualifications of 11 persons applying for certificates and shall make rules for 12 and conduct examinations for determining the qualifications. 13 The Board shall consist of 9 examiners, at least 7 of 14 whom shall be certified public accountants in this State who 15 have been residents of this State for at least 5 years 16 immediately preceding their appointment. One shall be either 17 an accountant of the grade herein described or an attorney 18 licensed and residing in this State and one shall be a 19 certified public accountant who is an active or retired 20 educator residing in this State. The term of office of each 21 examiner shall be 3 years, except that upon the enactment of 22 this amendatory Act of 1993, those members currently serving -2- LRB093 03166 AMC 16966 a 1 on the Board shall continue to serve the duration of their 2 terms, one additional examiner shall be appointed for a term 3 of one year, one additional examiner for a term of 2 years, 4 and 2 additional examiners for a term of 3 years. As the 5 term of each examiner expires, the appointment shall be 6 filled for a term of 3 years from the date of expiration. 7 Any Board member who has served as a member for 6 consecutive 8 years shall not be eligible for reappointment until 2 years 9 after the end of the term in which the sixth consecutive year 10 of service occurred. 11 Information regarding educational requirements, the 12 application process, the examination, and fees shall be 13 available on the the Board's Internet web site as well as in 14 printed documents available from the Board's office.The15time and place of holding the examinations shall be16determined by the Board and shall be duly advertised by the17Board.18 The examination shall test the applicant's knowledge of 19 accounting, auditing, and other related subjects, if any, as 20 the Board may deem advisable. Prior to implementation of a 21 computer-based examination, a candidate must be examined in 22 all subjects except that a candidate who has passed in 2 or 23 more subjects and who attained a minimum grade in each 24 subject failed as may be established by Board regulations 25 shall have the right to be re-examined in the remaining 26 subjects at one or more of the next 6 succeeding 27 examinations. Upon implementation of a computer-based 28 examination, a candidate shall be required to pass all 29 sections of the examination in order to qualify for a 30 certificate. A candidate may take the required test sections 31 individually and in any order, as long as the examination is 32 taken within a timeframe established by Board rule. 33 The Board may in certain cases waive or defer any of the 34 requirements of this Section regarding the circumstances in -3- LRB093 03166 AMC 16966 a 1 which the various Sections of the examination must be passed 2 upon a showing that, by reasons of circumstances beyond the 3 applicant's control, the applicant was unable to meet the 4 requirement. 5 Applicants may also be required to pass an examination on 6 the rules of professional conduct, as determined by Board 7 rule to be appropriate. 8 The examinations shall be given at least twice a year. 9 Any application, document or other information filed by 10 or concerning an applicant and any examination grades of an 11 applicant shall be deemed confidential and shall not be 12 disclosed to anyone without the prior written permission of 13 the applicant, except that it is hereby deemed in the public 14 interest that the names and addresses only of all applicants 15 shall be a public record and be released as public 16 information. Nothing herein shall prevent the Board from 17 making public announcement of the names of persons receiving 18 certificates under this Act. 19 The Board shall adopt all necessary and reasonable rules 20 and regulations for the effective administration of the 21 Sections of this Act for which it is charged with 22 administering. Without limiting the foregoing, the Board 23 shall adopt and prescribe rules and regulations for a fair 24 and wholly and impartial method of determining the 25 qualifications of applicants for examination and for a fair 26 and wholly and impartial method of examination of persons 27 under Section 2 and may establish rules for subjects 28 conditioned and for the transfer of credits from other 29 jurisdictions with respect to subjects passed. 30 (Source: P.A. 88-36.) 31 (Text of Section after amendment by P.A. 92-457) 32 Sec. 2. Examinations. The Governor shall appoint a Board 33 of Examiners that shall determine the qualifications of 34 persons applying for certificates and shall make rules for -4- LRB093 03166 AMC 16966 a 1 and conduct examinations for determining the qualifications. 2 The Board shall consist of not less than 9 nor more than 11 3 examiners, as determined by Board rule, including 2 public 4 members. The remainder shall be certified public accountants 5 in this State who have been residents of this State for at 6 least 5 years immediately preceding their appointment, except 7 that one shall be either a certified public accountant of the 8 grade herein described or an attorney licensed and residing 9 in this State and one shall be a certified public accountant 10 who is an active or retired educator residing in this State. 11 The term of office of each examiner shall be 3 years, except 12 that upon the enactment of this amendatory Act of the 92nd 13 General Assembly, those members currently serving on the 14 Board shall continue to serve the duration of their terms, 15 one additional examiner shall be appointed for a term of one 16 year, one additional examiner for a term of 2 years, and any 17 additional examiners for terms of 3 years. As the term of 18 each examiner expires, the appointment shall be filled for a 19 term of 3 years from the date of expiration. Any Board 20 member who has served as a member for 6 consecutive years 21 shall not be eligible for reappointment until 2 years after 22 the end of the term in which the sixth consecutive year of 23 service occurred, except that members of the Board serving on 24 the effective date of this Section shall be eligible for 25 appointment to one additional 3-year term. Where the 26 expiration of any member's term shall result in less than 11 27 members then serving on the Board, the member shall continue 28 to serve until his or her successor is appointed and has 29 qualified. The Governor may terminate the term of any member 30 of the Board at any time for cause. 31 Information regarding educational requirements, the 32 application process, the examination, and fees shall be 33 available on the Board's Internet Web site as well as in 34 printed documents available from the Board's office.The time-5- LRB093 03166 AMC 16966 a 1and place of holding the examinations shall be determined by2the Board and shall be duly advertised by the Board.3 The examination shall test the applicant's knowledge of 4 accounting, auditing, and other related subjects, if any, as 5 the Board may deem advisable. Prior to implementation of a 6 computer-based examination, a candidate must be examined in 7 all subjects except that a candidate who has passed in 2 or 8 more subjects and who attained a minimum grade in each 9 subject failed as may be established by Board regulations 10 shall have the right to be re-examined in the remaining 11 subjects at one or more of the next 6 succeeding 12 examinations. Upon implementation of a computer-based 13 examination, a candidate shall be required to pass all 14 sections of the examination in order to qualify for a 15 certificate. A candidate may take the required test sections 16 individually and in any order, as long as the examination is 17 taken within a timeframe established by Board rule. 18 The Board may in certain cases waive or defer any of the 19 requirements of this Section regarding the circumstances in 20 which the various Sections of the examination must be passed 21 upon a showing that, by reasons of circumstances beyond the 22 applicant's control, the applicant was unable to meet the 23 requirement. 24 Applicants may also be required to pass an examination on 25 the rules of professional conduct, as determined by Board 26 rule to be appropriate. 27 The examinations shall be given at least twice a year. 28 Any application, document or other information filed by 29 or concerning an applicant and any examination grades of an 30 applicant shall be deemed confidential and shall not be 31 disclosed to anyone without the prior written permission of 32 the applicant, except that it is hereby deemed in the public 33 interest that the names and addresses only of all applicants 34 shall be a public record and be released as public -6- LRB093 03166 AMC 16966 a 1 information. Nothing herein shall prevent the Board from 2 making public announcement of the names of persons receiving 3 certificates under this Act. 4 The Board shall adopt all necessary and reasonable rules 5 and regulations for the effective administration of this Act. 6 Without limiting the foregoing, the Board shall adopt and 7 prescribe rules and regulations for a fair and wholly and 8 impartial method of determining the qualifications of 9 applicants for examination and for a fair and wholly and 10 impartial method of examination of persons under Section 2 11 and may establish rules for subjects conditioned and for the 12 transfer of credits from other jurisdictions with respect to 13 subjects passed. 14 (Source: P.A. 92-457, eff. 7-1-04.) 15 (225 ILCS 450/20.01) (from Ch. 111, par. 5521.01) 16 (Section scheduled to be repealed on January 1, 2014) 17 (Text of Section before amendment by P.A. 92-457) 18 Sec. 20.01. Grounds for discipline. 19 (a) The Department may refuse to issue or renew, or may 20 revoke, suspend, or reprimand any license or licensee, place 21 a licensee on probation for a period of time subject to any 22 conditions the Committee may specify including requiring the 23 licensee to attend continuing education courses or to work 24 under the supervision of another licensee, impose a fine not 25 to exceed $5,000 for each violation, restrict the authorized 26 scope of practice, or require a licensee to undergo a peer 27 review program, for any one or more of the following: 28 (1) Violation of any provision of this Act. 29 (2) Attempting to procure a license to practice 30 public accounting by bribery or fraudulent 31 misrepresentations. 32 (3) Having a license to practice public accounting 33 revoked, suspended, or otherwise acted against, including -7- LRB093 03166 AMC 16966 a 1 the denial of licensure, by the licensing authority of 2 another state, territory, or country. No disciplinary 3 action shall be taken in Illinois if the action taken in 4 another jurisdiction was based upon failure to meet the 5 continuing professional education requirements of that 6 jurisdiction and the applicable Illinois continuing 7 professional education requirements are met. 8 (4) Being convicted or found guilty, regardless of 9 adjudication, of a crime in any jurisdiction which 10 directly relates to the practice of public accounting or 11 the ability to practice public accounting. 12 (5) Making or filing a report or record which the 13 registrant knows to be false, willfully failing to file a 14 report or record required by state or federal law, 15 willfully impeding or obstructing the filing, or inducing 16 another person to impede or obstruct the filing. The 17 reports or records shall include only those that are 18 signed in the capacity of a public accountant. 19 (6) Conviction in this or another State or the 20 District of Columbia, or any United States Territory, of 21 any crime that is punishable by one year or more in 22 prison or conviction of a crime in a federal court that 23 is punishable by one year or more in prison. 24 (7) Proof that the licensee is guilty of fraud or 25 deceit, or of gross negligence, incompetency, or 26 misconduct, in the practice of public accounting. 27 (8) Violation of any rule adopted under this Act. 28 (9) Practicing on a revoked, suspended, or inactive 29 license. 30 (10) Suspension or revocation of the right to 31 practice before any state or federal agency. 32 (11) Conviction of any crime under the laws of the 33 United States or any state or territory of the United 34 States that is a felony or misdemeanor and has dishonesty -8- LRB093 03166 AMC 16966 a 1 as essential element, or of any crime that is directly 2 related to the practice of the profession. 3 (12) Making any misrepresentation for the purpose 4 of obtaining a license, or material misstatement in 5 furnishing information to the Department. 6 (13) Aiding or assisting another person in 7 violating any provision of this Act or rules promulgated 8 hereunder. 9 (14) Engaging in dishonorable, unethical, or 10 unprofessional conduct of a character likely to deceive, 11 defraud, or harm the public and violating the rules of 12 professional conduct adopted by the Department. 13 (15) Habitual or excessive use or addiction to 14 alcohol, narcotics, stimulants, or any other chemical 15 agent or drug that results in the inability to practice 16 with reasonable skill, judgment, or safety. 17 (16) Directly or indirectly giving to or receiving 18 from any person, firm, corporation, partnership, or 19 association any fee, commission, rebate, or other form of 20 compensation for any professional service not actually 21 rendered. 22 (17) Physical or mental disability, including 23 deterioration through the aging process or loss of 24 abilities and skills that results in the inability to 25 practice the profession with reasonable judgment, skill 26 or safety. 27 (18) Solicitation of professional services by using 28 false or misleading advertising. 29 (19) Failure to file a return, or pay the tax, 30 penalty or interest shown in a filed return, or to pay 31 any final assessment of tax, penalty or interest, as 32 required by any tax Act administered by the Illinois 33 Department of Revenue or any successor agency or the 34 Internal Revenue Service or any successor agency. -9- LRB093 03166 AMC 16966 a 1 (20) Practicing or attempting to practice under a 2 name other than the full name as shown on the license or 3 any other legally authorized name. 4 (21) A finding by the Department that a licensee 5 has not complied with a provision of any lawful order 6 issued by the Department. 7 (22) Making a false statement to the Department 8 regarding compliance with continuing professional 9 education requirements. 10 (23) Failing to make a substantive response to a 11 request for information by the Department within 30 days 12 of the request. 13 (b) (Blank). 14 (c) In rendering an order, the Director shall take into 15 consideration the facts and circumstances involving the type 16 of acts or omissions in subsection (a) including, but not 17 limited to: 18 (1) the extent to which public confidence in the 19 public accounting profession was, might have been, or may 20 be injured; 21 (2) the degree of trust and dependence among the 22 involved parties; 23 (3) the character and degree of financial or 24 economic harm which did or might have resulted; and 25 (4) the intent or mental state of the person 26 charged at the time of the acts or omissions. 27 (d) The Department shall reissue the license upon 28 certification by the Committee that the disciplined licensee 29 has complied with all of the terms and conditions set forth 30 in the final order. 31 (e) The Department shall deny any application for a 32 license or renewal, without hearing, to any person who has 33 defaulted on an educational loan guaranteed by the Illinois 34 Student Assistance Commission; however, the Department may -10- LRB093 03166 AMC 16966 a 1 issue a license or renewal if the person in default has 2 established a satisfactory repayment record as determined by 3 the Illinois Student Assistance Commission. 4 (f) The determination by a court that a licensee is 5 subject to involuntary admission or judicial admission as 6 provided in the Mental Health and Developmental Disabilities 7 Code will result in the automatic suspension of his or her 8 license. The suspension will end upon a finding by a court 9 that the licensee is no longer subject to involuntary 10 admission or judicial admission, the issuance of an order so 11 finding and discharging the patient, and the recommendation 12 of the Committee to the Director that the licensee be allowed 13 to resume professional practice. 14 (Source: P.A. 90-655, eff. 7-30-98; revised 3-7-02.) 15 (Text of Section after amendment by P.A. 92-457) 16 Sec. 20.01. Grounds for discipline; license. 17 (a) The Board may refuse to issue or renew, or may 18 revoke, suspend, or reprimand any license or licensee, place 19 a licensee on probation for a period of time subject to any 20 conditions the Board may specify including requiring the 21 licensee to attend continuing education courses or to work 22 under the supervision of another licensee, impose a fine not 23 to exceed $5,000 for each violation, restrict the authorized 24 scope of practice, or require a licensee to undergo a peer 25 review program, for any one or more of the following: 26 (1) Violation of any provision of this Act. 27 (2) Attempting to procure a license to practice 28 public accounting by bribery or fraudulent 29 misrepresentations. 30 (3) Having a license to practice public accounting 31 revoked, suspended, or otherwise acted against, including 32 the denial of licensure, by the licensing authority of 33 another state, the District of Columbia, or any United 34 States territory. No disciplinary action shall be taken -11- LRB093 03166 AMC 16966 a 1 in Illinois if the action taken in another jurisdiction 2 was based upon failure to meet the continuing 3 professional education requirements of that jurisdiction 4 and the applicable Illinois continuing professional 5 education requirements are met. 6 (4) Being convicted or found guilty, regardless of 7 adjudication, of a crime in any jurisdiction which 8 directly relates to the practice of public accounting or 9 the ability to practice public accounting. 10 (5) Making or filing a report or record which the 11 registrant knows to be false, willfully failing to file a 12 report or record required by state or federal law, 13 willfully impeding or obstructing the filing, or inducing 14 another person to impede or obstruct the filing. The 15 reports or records shall include only those that are 16 signed in the capacity of a licensed certified public 17 accountant. 18 (6) Conviction in this or another State or the 19 District of Columbia, or any United States Territory, of 20 any crime that is punishable by one year or more in 21 prison or conviction of a crime in a federal court that 22 is punishable by one year or more in prison. 23 (7) Proof that the licensee is guilty of fraud or 24 deceit, or of gross negligence, incompetency, or 25 misconduct, in the practice of public accounting. 26 (8) Violation of any rule adopted under this Act. 27 (9) Practicing on a revoked, suspended, or inactive 28 license. 29 (10) Suspension or revocation of the right to 30 practice before any state or federal agency. 31 (11) Conviction of any crime under the laws of the 32 United States or any state or territory of the United 33 States that is a felony or misdemeanor and has dishonesty 34 as an essential element, or of any crime that is directly -12- LRB093 03166 AMC 16966 a 1 related to the practice of the profession. 2 (12) Making any misrepresentation for the purpose 3 of obtaining a license, or material misstatement in 4 furnishing information to the Board. 5 (13) Aiding or assisting another person in 6 violating any provision of this Act or rules promulgated 7 hereunder. 8 (14) Engaging in dishonorable, unethical, or 9 unprofessional conduct of a character likely to deceive, 10 defraud, or harm the public and violating the rules of 11 professional conduct adopted by the Board. 12 (15) Habitual or excessive use or addiction to 13 alcohol, narcotics, stimulants, or any other chemical 14 agent or drug that results in the inability to practice 15 with reasonable skill, judgment, or safety. 16 (16) Directly or indirectly giving to or receiving 17 from any person, firm, corporation, partnership, or 18 association any fee, commission, rebate, or other form of 19 compensation for any professional service not actually 20 rendered. 21 (17) Physical or mental disability, including 22 deterioration through the aging process or loss of 23 abilities and skills that results in the inability to 24 practice the profession with reasonable judgment, skill 25 or safety. 26 (18) Solicitation of professional services by using 27 false or misleading advertising. 28 (19) Failure to file a return, or pay the tax, 29 penalty or interest shown in a filed return, or to pay 30 any final assessment of tax, penalty or interest, as 31 required by any tax Act administered by the Illinois 32 Department of Revenue or any successor agency or the 33 Internal Revenue Service or any successor agency. 34 (20) Practicing or attempting to practice under a -13- LRB093 03166 AMC 16966 a 1 name other than the full name as shown on the license or 2 any other legally authorized name. 3 (21) A finding by the Board that a licensee has not 4 complied with a provision of any lawful order issued by 5 the Board. 6 (22) Making a false statement to the Board 7 regarding compliance with continuing professional 8 education requirements. 9 (23) Failing to make a substantive response to a 10 request for information by the Board within 30 days of 11 the request. 12 (b) (Blank). 13 (c) In rendering an order, the Board shall take into 14 consideration the facts and circumstances involving the type 15 of acts or omissions in subsection (a) including, but not 16 limited to: 17 (1) the extent to which public confidence in the 18 public accounting profession was, might have been, or may 19 be injured; 20 (2) the degree of trust and dependence among the 21 involved parties; 22 (3) the character and degree of financial or 23 economic harm which did or might have resulted; and 24 (4) the intent or mental state of the person 25 charged at the time of the acts or omissions. 26 (d) The Board shall reissue the license upon a showing 27 that the disciplined licensee has complied with all of the 28 terms and conditions set forth in the final order. 29 (e) The Board shall deny any application for a license 30 or renewal, without hearing, to any person who has defaulted 31 on an educational loan guaranteed by the Illinois Student 32 Assistance Commission; however, the Board may issue a license 33 or renewal if the person in default has established a 34 satisfactory repayment record as determined by the Illinois -14- LRB093 03166 AMC 16966 a 1 Student Assistance Commission. 2 (f) The determination by a court that a licensee is 3 subject to involuntary admission or judicial admission as 4 provided in the Mental Health and Developmental Disabilities 5 Code will result in the automatic suspension of his or her 6 license. The suspension will end upon a finding by a court 7 that the licensee is no longer subject to involuntary 8 admission or judicial admission and the issuance of an order 9 so finding and discharging the patient. 10 (Source: P.A. 92-457, eff. 7-1-04; revised 3-7-02.) 11 Section 95. No acceleration or delay. Where this Act 12 makes changes in a statute that is represented in this Act by 13 text that is not yet or no longer in effect (for example, a 14 Section represented by multiple versions), the use of that 15 text does not accelerate or delay the taking effect of (i) 16 the changes made by this Act or (ii) provisions derived from 17 any other Public Act. 18 Section 99. Effective date. This Act takes effect upon 19 becoming law."